Commodity Daily News

Crude Oil Price in Decline on Rising USD

The price of spot crude oil has been declining moderately for over a week as growth concerns continue to take their toll. The various market forecasts made by the United States, Europe and Australia have apparently put a damper on demand and pushed a number of traders out of riskier assets and back into safe-havens for the time being. The result has been a strengthening US dollar, and weakening commodity prices.

While the USD climbs in value, the commodities which are linked to the greenback will react in an opposite fashion; losing value as it becomes more expensive to purchase them. If the dollar continues its rise, either from risk aversion or market growth in the US, the price of commodities such as oil will undoubtedly continue their fall.